I count wave A complete. If this is correct and the 5th wave of A does not extend, then we should see a pullback. This would provide an opportunity to lighten up. Wave 1 from 4/26 is complete at an important low in an oversold technical condition. When the wave 1 low is broken it will break the back of the bulls. Every bear market has this seminal event. That low is the bull's Maginot line. In order for wave 1 to be "worked off" in wave 2 the DJI must go to at least 10,500. The H&S target is 10,600.
I1 governs trader psychology. However, at critical juncture there are larger forces at work. Big fund managers are committing capital seeing a buying opportunity in a bull market. Biggs, Mobius, etc. are only the vocal ones and, until the technical oversold condition is worked off they are making money. Unless they are nimble they are going to eat those shares later. Wave 1 is a 5-wave down. It is a big deal and will require more than 3 days to correct.
Here is a chart of SPX with the H&S and target:
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